Multiple Injury Trust Fund v. Dean

2001 OK CIV APP 30, 24 P.3d 861, 72 O.B.A.J. 1099, 2000 Okla. Civ. App. LEXIS 141, 2001 WL 293128
CourtCourt of Civil Appeals of Oklahoma
DecidedNovember 9, 2000
DocketNo. 94030
StatusPublished
Cited by7 cases

This text of 2001 OK CIV APP 30 (Multiple Injury Trust Fund v. Dean) is published on Counsel Stack Legal Research, covering Court of Civil Appeals of Oklahoma primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Multiple Injury Trust Fund v. Dean, 2001 OK CIV APP 30, 24 P.3d 861, 72 O.B.A.J. 1099, 2000 Okla. Civ. App. LEXIS 141, 2001 WL 293128 (Okla. Ct. App. 2000).

Opinions

Opinion by

KENNETH L. BUETTNER, Judge:

T1 Petitioner/Respondent The Special Indemnity Fund of the State of Oklahoma, now known as The Multiple Injury Trust Fund1 (Fund) and Respondents/ Petitioners Jerry D. Dean and James H. Pilkington, individually (Claimants), and as representatives of a class of claimants (Class), seek review of an order of the Workers' Compensation Court which ordered the Fund to pay to the Class over $25 million in interest on unpaid claims against the Fund.2 Because we find that the trial court properly certified the matter as a class action, and because we find no errors of law, we sustain the order.

I. PROCEDURAL BACKGROUND

T2 In Claimants' action for interest on unpaid claims against the Fund they sought certification of a class of all claimants who have been awarded benefits against the Fund since January 1, 1987 and whose awards have not been paid. The Workers' Compensation Court entered its order June 22, 1995, in which it certified as a class all claimants who had been awarded benefits against the Fund since January 1, 1987 and whose claims remained unpaid. The court determined that the class exceeds 500 persons and that the class is so numerous that joinder is impracticable. The court further found questions of law and fact common to all the class members, specifically the issues of whether class members are entitled to interest on unpaid benefits and the applicable statute of limitations period. The court also determined that the claims of Claimants are typical of those of the Class. Finally, the court found that questions of law and fact common to members of the class predominate over questions affecting individual class members and that a class action is superior to other available methods for adjudication of the matter. The Fund did not seek review of that order.

T3 Claimants then moved for partial summary judgment seeking an order that the applicable interest rate is 18%; that there is no applicable statute of limitations; and that amounts paid by the Fund toward the claims and interest must be applied first to the payment of interest and second to reduction of the principal. The Workers' Compensation Court entered its order January 29, 1997, in which it held that it had jurisdiction to assess interest on unpaid workers' compensation awards and that such determination is made pursuant to 85 0.S.Supp.1994 § 42. The court further found that 85 0.8. 1991 § 42 was amended in 1994 and that prior to that amendment, 12 0.8.1991 § 727 did not apply to awards against the Fund, but that after the 1994 amendment to § 42, [864]*86412 0.8.1991 § 727 did apply to determine the amount of interest owed. The court further determined that the dormaney provision in 12 0.8.1991 § 785 is not applicable to workers' compensation awards unless and until a certified copy of the award is filed in the district court. The court also ruled that ordering the Fund to pay interest on awards does not violate Oklahoma Constitution Article 10, Section 28. The court further ruled that the interest rate for awards entered against the Fund prior to November 4, 1994, and not filed in the district court, is 18%, and the interest rate on awards entered prior to November 4, 1994, but filed in the district court, is the interest rate governed by 12 0.8.1991 § 727 from the date of such filing. The court determined that the interest rate on awards entered against the Fund after November 4, 1994 is the rate provided for in 85 O.S.8upp.1994 § 42 and 12 0.8.1991 § 727. The court next determined that all payments made by the Fund would be applied to principal first and then to accumulated interest. The court then ordered a status conference to determine which class members belonged to three subclasses and also ordered the parties to inform the court when the principal amount of each class member's award was paid.

14 Claimants then sought appellate review of that order. This court ruled that the above-described order was not a "reviewable decision" and dismissed the review proceeding. See Dean v. Special Indemmity Fund, 1998 OK CIV APP 30, 956 P.2d 945. This court noted that its review of Workers' Compensation Court cases is limited to reviewable decisions, which are defined as those which " 'make or deny an award or otherwise constitute 'a final determination of the rights of the parties upon a final hearing.'" Id. at 944-8, citing McCallum & Forber v. Owens, 184 Okla. 66, 85 P.2d 411 (1938). This court determined that the trial court's order "directs a status conference, continuation of the determination of the members of the class, and determination of the principal amounts for each member of the class," but lacked the attributes of an enforceable award. This court noted that it did not express an opinion on the jurisdiction or authority of the Workers' Compensation Court to entertain a class action.

15 Following dismissal of the review proceeding, the trial court ordered the parties to submit interest computations for the court's consideration. The trial court issued an order November 22, 1999, in which it awarded interest on unpaid awards to the Class. The November 22, 1999 order was vacated December 29, 1999 and a new order was issued which is the subject of the instant review proceeding.

T6 In its December 29, 1999 order, the trial court noted that Rule 2 of the Workers' Compensation Court Rules3 provides that "any matter of practice or procedure not specifically dealt with either by the Workers' Compensation Act or by these Rules will be guided by practice or procedure followed in the district courts of this state." The court further noted that, while the Workers' Compensation Act and Rules do not address class actions, the civil procedure statutes applicable to the district courts do provide a statutory basis for class action proceedings. The court noted its 1995 order certifying as a class persons who had received awards of benefits from the Fund since January 1, 1987 which remain unpaid.4 The order further provided that assessment of interest on unpaid workers' compensation awards is covered by the Workers' Compensation Act, specifically 85 0.8.8upp.1994 § 42.

17 In its order the court further held that prior to the November 4, 1994 amendment to 85 0.S$.8upp.1994 § 42, 12 0.9.1991 § 727 did not apply to workers' compensation awards unless a certified copy of the award was filed in the district court.5 The court opined that it would not render an advisory opinion di[865]*865recting the Fund as to which claims should receive priority of payment. The court further declared that the United States Rule applies to partial payments of claims against the Fund.

8 The court held that interest awards on unpaid claims against the Fund shall be computed pursuant to Cox v. Kansas City Life Insurance Co., 1999 OK 57, 983 P.2d 1025. The court noted its earlier request for submissions of proposed computations of interest based on Cox. The Class submitted two sets of calculations indicating interest due in the amounts of $21,459,594.54 and $29,875,850.83. The Fund submitted calculations showing $25,015,457.74 in interest due. The court order further noted that the parties had exchanged documents listing the names and case numbers of those in the Class.

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Bluebook (online)
2001 OK CIV APP 30, 24 P.3d 861, 72 O.B.A.J. 1099, 2000 Okla. Civ. App. LEXIS 141, 2001 WL 293128, Counsel Stack Legal Research, https://law.counselstack.com/opinion/multiple-injury-trust-fund-v-dean-oklacivapp-2000.